HOCHUL’S AD CAMPAIGN: Governor Kathy Hochul’s office is deploying taxpayer money to finance an extensive advertising campaign promoting her policies, which skirts a legal prohibition on governors featuring in promotional content.
New York State law bars elected officials from appearing in advertisements funded by state resources.
Although Hochul does not appear in the ads herself, they direct viewers to a state-managed website where she is prominently presented discussing her efforts to streamline processes for constructing affordable housing.
“They’re bypassing the primary intent of the law, which is to prevent taxpayer dollars from being used to promote the governor’s image or likeness,” stated Republican Assemblymember Matt Slater. “It’s essential to examine this to determine any consequences she should face if she’s indeed breaching the law.”
These ads have appeared on various platforms over the past week, including Facebook, YouTube, and at least one billboard, with the governor’s office indicating that a FOIL request is necessary to view the full extent of the campaign.
One particular ad on YouTube features the phrase “Let Them Build,” guiding users to the state’s website. The Executive Chamber invested between $10,000 and $15,000 on this specific ad, which is among 21 ads aired on YouTube or Google recently, amassing one million views.
“The state habitually conducts awareness and education campaigns on key policy matters, and this campaign was designed in line with all ethics laws,” noted Hochul spokesperson Jen Goodman.
Rachael Fauss from Reinvent Albany suggested that if the 20-year-old law were drafted today, “it would likely consider” campaigns of this nature.
“From a purely technical viewpoint, she might not be breaking the law,” Fauss commented. “But the essence of the law is to prevent the governor’s image from being promoted using taxpayer funds. The law hasn’t kept pace with current media consumption and advertising trends.”
The prohibition on such advertising emerged after former Governor George Pataki aired state-funded ads during an election year, urging people to enroll in a healthcare program. Ethics reforms introduced by former Governor Eliot Spitzer included provisions to stop this practice.
Hochul is not the first official to test the boundaries of this law recently. New York City Mayor Zohran Mamdani’s image has been seen on WiFi kiosks, a practice allowed since the city receives the screentime for free. Unlike Hochul, Mamdani is not up for reelection soon.
“She has ample campaign funds to finance these ads,” Slater argued. “Currently, she is using taxpayer funds to boost her image while she’s on the ballot this year.” — Bill Mahoney
FROM THE CAPITOL
PRICING POLITICS: Democratic State Attorney General Letitia James is endorsing a bill aimed at curbing retailers’ use of algorithmic pricing.
James appeared in Albany to advocate for legislation designed to stop the practice of using consumer data to set personalized prices.
Supported by Assemblymember Michaelle Solages and Deputy Senate Majority Leader Mike Gianaris, the bill is part of a wider effort by lawmakers to address economic concerns affecting citizens.
“This online pricing strategy impacts the most critical areas — food, medicine, diapers, and other basics,” James said at a press conference. “We’ve all been focused on the issue of affordability throughout the state.” — Nick Reisman
FROM CITY HALL
EVIDENCE HUNT: The former NYPD sergeant accusing former mayoral aide Tim Pearson of sexual harassment seeks access to evidence that led the Mamdani administration to cease paying for Pearson’s legal expenses.
In 2024, Roxanne Ludemann filed a lawsuit against Pearson, a close associate and adviser to former Mayor Eric Adams, accusing him of workplace sexual harassment and professional retaliation after she rejected him.
Following an uncommon arrangement approved by Adams’ Law Department, Pearson was provided taxpayer-funded private lawyers to defend against Ludemann’s lawsuit. However, Mamdani’s corporation counsel, Steve Banks, announced last week the termination of Pearson’s representation, citing unspecified “new evidence.”
In a court filing, John Scola, representing Ludemann, requested that the Law Department provide his client with the evidence in question, stating its relevance to her ongoing case.
“Produce all documents, records, evidence, reports, memoranda, and materials of any kind that constitute, refer to, or relate to the ‘new evidence’ relied upon, reviewed, considered, or referenced by corp counsel in making its determination to decline or withdraw representation of Defendant Timothy Pearson in this matter,” Scola wrote in the filing.
Last week, Banks also ended a similar agreement for Jeffrey Maddrey, an Adams ally and former NYPD chief of department, who is accused by Ludemann of assisting Pearson in retaliating against her.
Scola’s filing also demands access to the information prompting Banks to terminate Maddrey’s arrangement.
Pearson and Maddrey, who stepped down from city government in late 2024 amid unrelated corruption probes, deny any wrongdoing.
A Law Department spokesperson did not comment on Scola’s request.
New York City taxpayers have already paid more than $620,000 towards Pearson’s legal expenses. — Chris Sommerfeldt
FINANCE SHUFFLE: Mayor Mamdani is considering a candidate to lead the Department of Finance, an agency gaining significance due to his initiative to increase property taxes.
Mamdani’s administration is negotiating with Richard Lee for the position, according to sources with knowledge of the discussions who spoke anonymously.
Lee, currently the director of the City Council’s Division of Finance, would leave Council Speaker Julie Menin without her chief budget adviser amid intensifying negotiations over the city’s $127 billion budget for the upcoming fiscal year.
The Council is holding budget oversight hearings this month to determine how city agencies plan to operate amid a challenging fiscal environment. The city faces a projected multi-billion dollar deficit next year, and Mamdani’s administration relies on cash reserves, optimistic revenue forecasts, and property tax increases to close the gap for the fiscal year starting July 1.
Raising property levies requires Council approval, and Menin has deemed it a nonstarter, advocating for cost-cutting measures first. In contrast, the mayor believes that property levy hikes can be avoided if Albany permits local tax increases on millionaires and corporations, proposals Menin has not supported.
If Lee joins Mamdani’s administration, he would work in the finance department, evaluating property values in New York City, a key factor in determining annual revenue from property owners.
Read the story from Joe Anuta and Chris Sommerfeldt in POLITICO Pro.
AROUND NEW YORK
— MACHIAVELLIAN MAMDANI: The mayor has exerted his political influence on fellow progressive lawmakers, including thwarting Tiffany Cabán’s congressional ambitions and pressuring Chi Ossé. (The New York Times)
— ADAMS OFFICIAL UNDER PROBE: The former commissioner of the city’s probation department under Mayor Eric Adams is under investigation by the Manhattan district attorney. (Gothamist)
— MAYOR DINES WITH KNICKS: Mamdani broke his Saturday Ramadan fast with Senegalese Knicks player Mo Diawara. (GQ)
Missed this morning’s New York Playbook? We forgive you. Read it here.
